Here We Go Again: How to Tell a Bubble When you See One

Posted by Andy_Updegrove on May 24, 2011 12:50 PM EDT Standards Blog; By Andy Updegrove
Mail this story
Print this story

Oh my goodness. It's happening again. Will there be anywhere to hide this time, or are we already trapped — tied like poor little Pauline to the railroad tracks as the engine of another high tech bubble barrels down upon us.

Until last Thursday, there was some cause for hope. True, the day before the New York Times had written a piece reporting on the growing prevalence of "acqhire" transactions. That's where a company (like Facebook) buys a company for millions of dollars, only to promptly shut it down. Why? Because it wants the employees — $500,000 to $1 million per engineer is the current going rate. That's not quite as high as it was during the Internet Bubble years, but the same companies are doing lots of big-ticket acquisitions as well. Whether or not these transactions pay off in new revenues, the dilution to existing stockholders will be the same.

And then, on Thursday, it happened. LinkedIn went public.

Full Story

» Read more about: Story Type: Humor, News Story

« Return to the newswire homepage

Subject Topic Starter Replies Views Last Post
No this is completely different. dinotrac 8 824 May 25, 2011 6:47 AM

You cannot post until you login.